On December 31, 2020, Wright Enterprises purchased $7,700 of merchandise inventory on a one-year 9% note payable.

1. Journalize the company’s purchase of merchandise inventory on December 31, 2020.
2. Journalize the company’s accrual of interest expense on June 30, 2021, its fiscal year-end.
3. Journalize the company’s payment of the note plus interest on December 31, 2021.

Journal

Date	Description	Debit	Credit
December 31, 2020	A/PA/RCashEquipmentInterest ExpenseInterest PayableInterest RevenueMerchandise InventoryNotes PayableNotes Payable Expense
December 31, 2020	A/PA/RCashEquipmentInterest ExpenseInterest PayableInterest RevenueMerchandise InventoryNotes PayableNotes Payable Expense
June 30, 2021	A/PA/RCashEquipmentInterest ExpenseInterest PayableInterest RevenueMerchandise InventoryNotes PayableNotes Payable Expense
June 30, 2021	A/PA/RCashEquipmentInterest ExpenseInterest PayableInterest RevenueMerchandise InventoryNotes PayableNotes Payable Expense
December 31, 2021	A/PA/RCashEquipmentInterest ExpenseInterest PayableInterest RevenueMerchandise InventoryNotes PayableNotes Payable Expense
December 31, 2021	A/PA/RCashEquipmentInterest ExpenseInterest PayableInterest RevenueMerchandise InventoryNotes PayableNotes Payable Expense
December 31, 2021	A/PA/RCashEquipmentInterest ExpenseInterest PayableInterest RevenueMerchandise InventoryNotes PayableNotes Payable Expense
December 31, 2021	A/PA/RCashEquipmentInterest ExpenseInterest PayableInterest RevenueMerchandise InventoryNotes PayableNotes Payable Expense